how literate were the animals? why would literacy be an issue?

The pigs limit the other animals’ opportunities to gain intelligence and education early on. Literacy, as in our own world, is the key here. They teach themselves to read and write from a children’s book but destroy it before the other animals can have the same chance. Indeed, most of the animals never learn more than a few letters of the alphabet. Once the pigs cement their status as the educated elite, they use their mental advantage to manipulate the other animals. For example, knowing that the other animals cannot read the Seven Commandments, they revise them whenever they like. The pigs also use their literacy to learn trades from manuals, giving them an opportunity for economic specialization and advancement. Content in the role of the intelligentsia, the pigs forgo manual labor in favor of bookkeeping and organizing. This shows that the pigs have not only the advantage of opportunity, but also the opportunity to reject whatever opportunities they like. Please see the GradeSaver link below for this excerpt.